Canadian Pacific Kansas City (NYSE:CP) Upgraded by Stephens to Hold Rating

Key Points

• Stephens upgraded Canadian Pacific Kansas City to a hold rating, adding to a mixed but still generally positive analyst outlook on the railroad operator.
• The stock was trading around $89.50, near its 52-week high of $91.52, while analysts’ consensus target price sits at $103.91.
• In its latest earnings report, CPKC posted $0.76 EPS versus $0.78 expected and revenue of $2.66 billion, both slightly below estimates.

Canadian Pacific Kansas City (NYSE:CP - Get Free Report) TSE: CP was upgraded by equities researchers at Stephens to a "hold" rating in a note issued to investors on Wednesday,Zacks.com reports.

Several other research analysts have also issued reports on the company. Sanford C. Bernstein raised their target price on Canadian Pacific Kansas City from $85.41 to $90.00 and gave the stock a "market perform" rating in a research report on Tuesday, March 31st. Argus set a $105.00 price objective on shares of Canadian Pacific Kansas City in a research note on Tuesday, June 16th. Susquehanna reissued a "positive" rating and set a $104.00 target price on shares of Canadian Pacific Kansas City in a research note on Friday, June 5th. Citigroup upped their price target on shares of Canadian Pacific Kansas City from $93.00 to $97.00 and gave the company a "buy" rating in a research report on Thursday, April 30th. Finally, ATB Cormark Capital Markets lowered Canadian Pacific Kansas City from a "strong-buy" rating to a "moderate buy" rating in a research report on Friday, April 17th. One research analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat.com, Canadian Pacific Kansas City currently has an average rating of "Moderate Buy" and a consensus target price of $103.91.

Canadian Pacific Kansas City Stock Up 0.9%

Shares of NYSE:CP opened at $89.50 on Wednesday. The company has a market capitalization of $79.20 billion, a PE ratio of 27.62, a price-to-earnings-growth ratio of 1.74 and a beta of 1.10. Canadian Pacific Kansas City has a 52-week low of $68.42 and a 52-week high of $91.52. The company has a debt-to-equity ratio of 0.46, a quick ratio of 0.57 and a current ratio of 0.67. The company has a fifty day moving average of $87.41 and a 200-day moving average of $81.99.

Canadian Pacific Kansas City (NYSE:CP - Get Free Report) TSE: CP last posted its earnings results on Wednesday, April 29th. The transportation company reported $0.76 EPS for the quarter, missing the consensus estimate of $0.78 by ($0.02). The firm had revenue of $2.66 billion during the quarter, compared to the consensus estimate of $2.70 billion. Canadian Pacific Kansas City had a net margin of 27.20% and a return on equity of 8.86%. Canadian Pacific Kansas City's revenue for the quarter was down 2.5% compared to the same quarter last year. During the same quarter in the prior year, the business posted $1.06 earnings per share. On average, equities analysts predict that Canadian Pacific Kansas City will post 3.75 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Prosperity Bancshares Inc acquired a new position in shares of Canadian Pacific Kansas City during the fourth quarter worth approximately $26,000. Gilpin Wealth Management LLC bought a new stake in Canadian Pacific Kansas City during the 4th quarter valued at $29,000. McMillan Office Inc. acquired a new position in Canadian Pacific Kansas City during the fourth quarter worth $31,000. Wealth Watch Advisors INC bought a new position in shares of Canadian Pacific Kansas City in the third quarter valued at $36,000. Finally, Acadian Asset Management LLC acquired a new position in shares of Canadian Pacific Kansas City during the first quarter valued at about $35,000. Institutional investors own 72.20% of the company's stock.

About Canadian Pacific Kansas City

Canadian Pacific Kansas City (CPKC) is a North American Class I freight railroad formed through the combination of Canadian Pacific Railway and Kansas City Southern. The merged company operates an integrated rail network that spans Canada, the United States and Mexico, providing a single-line rail connection across all three countries. This transborder footprint is intended to streamline cross-border freight flows and provide shippers with direct rail access from Canadian and U.S. production centers to Mexican markets and ports.

CPKC's core business is freight transportation and related logistics services.

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